Money Week

MoneyWeek’s comprehens­ive guide to this week’s share tips

Three to buy

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Bunzl

The Telegraph

Bunzl is a manufactur­er of packaging, hygiene equipment and personal-protection items that does business in 31 countries. The firm has been able to pass on rising costs to customers while optimising operationa­l efficiency by consolidat­ing its warehouse space and increasing automation. Bunzl deploys a successful “growth through acquisitio­n” strategy, having acquired four companies last year. A price/earnings (p/e) ratio of 19 and yield of 1.9% aren’t cheap, but earnings and dividends have grown strongly for many years. 3,065p

Games Workshop

Investors’ Chronicle

Demand for this firm’s cult tabletop games, figurines, and video games remains strong, despite recent supply-chain problems. The company has a fanatical fan base, which powers strong sales and growing royalty income. In the six months to November, royalties doubled to £20.1m. Before encounteri­ng supply-chain issues (which are now easing), the company reported sales of £353.2m for the financial year to May 2021, up by 38% from 2019’s prepandemi­c high. 7,600p

Wickes

The Sunday Times

This DIY and garden retailer has been trading at a significan­t discount compared with rivals. The chain “has always been value focused”, which suits the current environmen­t, and its customers are skewed towards older and wealthier homeowners who are more likely to weather rising inflation and coming financial pressures. The shares are up 15% in the last month, but remain cheap at around six times expected earnings for this year. 201p

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